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New opportunities for export and investments. « NATIONAL EXPORT AND INVESTMENT AGENCY « KAZNEX INVEST » , JSC Ministry of Industry and New Technologies of the Republic of Kazakhstan. Access to new markets: Kazakhstan, Russia and Belorussia entered in Custom Union from January 1, 2010.
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New opportunitiesfor export and investments «NATIONAL EXPORT AND INVESTMENT AGENCY «KAZNEX INVEST», JSC Ministry of Industry and New Technologies of the Republic of Kazakhstan
Access to new markets: Kazakhstan, Russia and Belorussia entered in Custom UnionfromJanuary 1,2010 Russia Advantages for potential investors: Unique trade rules: 1. Unique custom territory; 2. Unified trade policy; 3. Unique custom rules; 4. Free transportation of goods among the customs area Market capacity is about 170 million peoplewith a total GDP of 2 trillion. U.S. $ Incentives for investors: Free custom duties on imports of technological equipment and raw materials in Kazakhstan in the implementation of investment projects. In Kazakhstan, a more liberal tax, compared with Russia and Belarus to open and doing Business. Kazakhstan Belorussia
Stable Macroeconomic Environment of Kazakhstan Source: KazStat
Inward FDI Performance Investor Protection Gross inflow of FDI to Kazakhstan from 1993 – 108bln. USD Main investors by gross inflow of FDI in 1993 – 2009 Source: Doing Business 2010
Attracting foreign direct investments • International business forums • Country profiles • Advertising campaign in the international media • Kazakhstan embassies abroad • Foreign Embassies in Kazakhstan • Investment projects • Structuring projects • Solving of administrative problems • Information bulletin • Questioning 6
The steps of work with investors Investment project Database through Distribution among potential investors Instruments SelectionInvestor Partner result Joint venture with foreign investor 7
Government support for foreign investors The main instruments of support Economic incentives for investors Service support for investors Institutional Support Special Permanent Commissionon Foreign Investment headed by Prime Minister of Kazakhstan: «OMBUDSMEN»for Investors National Export and Investments Promotion Agency: “ONE-STOPSHOP” for Investors Special Economic Zones Investment Preferences
Special Economic Zones SEZ «Burabay» SEZ «Astana - New city» SEZ «Petrochemical park» SEZ «Ontystik» SEZ «Marine Port Aqtau» SEZ «IT Park» A Company established in the Special Economic Zone is exempted from paying: - Corporate tax - Land tax - Property tax - VAT
Investment Preferences Waiving of import duties Machinery Equipment Favorable tax regime State grants in kind Corporate tax rate is down to 20% VAT tax rate is down to 12% Land Buildings Reduction of taxable base for property tax Special order for entrance visa issue for foreign experts and for foreign labor Minimal long-term purchasecontract from state and national companies INVESTOR Machinery Equipment Reduction of taxable income for corporate income tax • Support measures under the «Business – 2020» Road Map: • Subsidizing interest rates on loans • Partial loan guarantees • Development of industrial infrastructure
What we can do for you? • The provision of consulting services, and training of analytical information about investment opportunities and business environment in Kazakhstan; • Assisting in the implementation of the necessary formalities related to the opening and doing business in Kazakhstan; • Assisting in obtaining measures of state support of investments; • Finding a suitable partner from Kazakhstan and assisting in determining the optimum site for the production; • Assisting in solving the problems faced by the investor in the implementation of investment projects.
Contacts www.invest.gov.kz www.kaznex.kz